SCHOOLS DEFEND PLAN FOR HANDLING GRANTS

Christine HawesCHICAGO TRIBUNE

Chicago Public Schools officials said Friday that their proposal for a new fundraising policy is only an attempt to comply with state law, protect donated money from being misused and ensure equity among schools.

Joyce Price, attorney for the Board of Education, said state law allows only the central administration, not individual schools, to accept grant money.

And by laying out a systemwide policy regulating awards and fundraising, the central administration will provide the most efficient means of distributing money, said Robert Sampieri, the board`s chief operating officer.

A number of private donors, as well as school reformers, have criticized the proposal, which is still a rough draft, as a potential blow to school reform that would give the board control of grant funds.

''They`re misunderstanding our intent,'' Sampieri said. ''It`s fair for a public institution to process money in a consistent way and make sure everyone knows the guidelines.''

According to the draft, which has been circulating among donors for the past week, all gifts, grants and contributions from the private sector would be accepted and disbursed by the board.

The draft states that gifts greater than $5,000 would be placed into a special funds account and that schools would apply for the funds through the board`s purchasing procedures.

But Sampieri said school administrators have revised the draft and raised the dollar limit to $25,000. Grants or gifts of less than $25,000 would be accepted and audited by the board, Sampieri said, but may be deposited into schools` internal accounts.

Although sources within and outside the school system had said the system would take up to 20 percent of each grant for administrative fees, Sampieri said no money would be taken out of donations for any reason.